FDA Backtracks On BPA Stance
In a reversal from its previous position, the Food and Drug Administration (FDA) has announced it will more closely study the effects of the chemical bisphenol-A, commonly known as BPA. In a statement released Friday, the FDA expressed "some concern about the potential effects of BPA on the brain, behavior and prostate gland of fetuses, infants and children." As recently as 2008, the agency said BPA, which is often used as a component in plastic bottles, was safe. "I think this is all about erring on the side of safety and being assured there's no issue," says Kippie Helzel, vice president of sales at CPS/Keystone (asi/43051). "Our products have always been BPA-free. There's enough of a buzz about the issue that distributors ask for BPA-free products."

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In use since the 1960s, BPA can be generally found in hard plastic bottles, usually marked with a 7 on the bottom. The chemical was once used in baby bottles, as well, but has been phased out by major manufacturers that say BPA can seep into food. Reacting to studies that have found BPA to be harmful to animals, many companies, including industry suppliers, now produce BPA-free bottles. "After reports about BPA possibly being unsafe, maybe two years ago, there was an overall sales drop-off for those products," says James Canning, vice president of marketing at Gold Bond (asi/57653). "We've now gone away from products that have BPA. We offer BPA-free drinkware and the response has been great. They were our best sellers in 2009."

To study BPA, the government will spend $30 million on human and animal research over the next 18 to 24 months. Although the FDA has agreed to monitor and test the chemical, the agency is cautioning its new research is not a signal that BPA is necessarily dangerous. "If we thought it was unsafe, we would be taking strong regulatory action," said Dr. Joshua Sharfstein, deputy commissioner of the FDA. As of now, the FDA has not banned BPA or any products that contain the chemical.

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Aid Begins To ReachHaiti
Unprecedented relief efforts are gradually escalating in Haiti, following a powerful earthquake last week that devastated the small island nation, killing an estimated 200,000 people. While international agencies and assigned peacekeepers delivered 200 tons of food and other supplies on Monday, many Haitians remain homeless and unable to leave Port-au-Prince, their nation's riot-plagued capital. "It seems that the number of rescuers are simply too few and their reach is too limited," said Ban Ki-moon, secretary general of the United Nations. "The situation is just overwhelming."

Currently, the U.N. has 7,000 troops in Haiti, with 3,000 deployed in Port-au-Prince alone. The U.S. is planning to send a total of 12,000 troops, along with $100 million in aid pledged by President Obama. On Monday, a group of European nations also announced it will provide $500 million in disaster relief. Additionally, dozens of humanitarian agencies and charities, including the Red Cross, the Salvation Army and UNICEF, are promising to use donated funds to supply food, shelter, clothing, comfort and medicine to needy Haitians. "Our priority now is to bring medical aid to cover the needs of thousands of people who were injured in the quake, and to prevent the spread of illness and diseases in the coming days," said Yasemin Aysan, the Red Cross' under secretary general for disaster response.

According to ASI's CreditConnect program, there are four ASI-listed distributors that operate in Haiti – Advertising Specialties (asi/112776), Jonto S A (asi/237373), Logotech (asi/255414) and PJ's Graphics (asi/288963). Following the earthquake, Carine Jules, owner of Advertising Specialties, contacted ASI to describe the devastation. "This is chaos," said Jules. "I do not wish this to any human being." Counselor has reached out to the other three companies, but has not heard back from any of them as of this morning.

If you or your company would like to donate to relief efforts in Haiti, click here for a list of charities and assistance agencies.

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Mid-Nite Snax Acquires Gourmet Gems
Completing the first of what could be several deals, supplier Mid-Nite Snax (asi/71685) has purchased the assets of Gourmet Gems (asi/57874). Financial terms of the deal were not disclosed. "We're coming off a very successful holiday season and we're going to stay aggressive," says Craig Fraum, executive vice president of Mid-Nite Snax. "We want to continue to grow in this economy."

Roughly one month ago, executives at Gourmet Gems approached Mid-Nite Snax to gauge interest in an asset purchase. After a short period of negotiation, a deal was finalized last week. According to Fraum, Gourmet Gems will remain a separate product line and its Web site will be unchanged. Already, Mid-Nite Snax is filling orders for Gourmet Gems' products. "We're expecting truckloads of their stuff," Fraum says. "We'll be taking on their whole operation here."

Employing about 100 people, Mid-Nite Snax generates annual revenues of around $10 million, according to Fraum. With an expanding company that offers products that range from gum to coffee to luxury snack towers, Fraum anticipates more acquisitions by Mid-Nite Snax in 2010. "We're going to be the largest food supplier in the industry," Fraum says.

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The Joe Show: New Year, New Products In this episode of The Joe Show, Counselor Managing Editor Joe Haley takes a look at some of the hottest new products that suppliers have released into the market in 2010. Want to show your clients some of the latest industry offerings? Check out this episode of The Joe Show.

Small Business Lending Rises Sharply
The U.S. Small Business Administration (SBA) backed 37% more loans last quarter than it did during the same period in 2008, signaling what the government hopes is a loosening of the credit market. In the final three months of 2009, the SBA's 7(a) lending program processed more than 12,000 loans totaling $3.8 billion, according to initial data. In contrast, during the fourth quarter of 2008, the SBA backed loans totaling only $1.9 billion.

The sudden increase in SBA-backed loans follows an especially dreary stretch of tight lending practices. In fact, from April to October, the nation's largest banks reduced their collective small business lending by 4.3%, slashing $11 billion in credit, according to the U.S. Treasury Department. The government tried several initiatives to reverse the trend, most rooted in the American Recovery and Reinvestment Act. One measure granted $375 million to temporarily waive fees for SBA loans, while also increasing the amount of each loan that the government guaranteed. While the allocated money ran out in November, Congress earmarked additional funding in late December.

According to SBA officials, the agency will continue to push for added stimulus funding from Congress, which will soon consider a jobs bill that includes $350 million to offset lending fees. Additionally, President Obama recently pledged to extend loan aid and tax breaks to small businesses and to create a new tax credit for hiring new workers in 2010.

Tuesday Morning Radio Show Live On The Air Every Tuesday morning from 10:30 a.m. eastern time to 11:00 a.m., a team of ASI editors debate the most important topics facing the industry. We also, of course, offer our own off-beat look at the market. This morning, we shared product trends found at recent trade shows, discussed how to keep top talent, and did a live interview with the newly-crowned Advantages Salesperson of the Year. Plus, we even took calls from audience members looking for ways to creatively sell products into new markets.

If you missed the show, don't worry. A recording is now available at www.asicentral.com/radio. And, don't forget to join us next Tuesday, January 26, for our next broadcast. Log on to www.asicentral.com/radio at 10:30 a.m. eastern time and give us a call at 215-953-4979. We want to hear from you!

Do You Have America's Most Creative Sales Team?
For an upcoming feature in Counselor magazine, the editors are looking for distributors that have creative sales teams. Do you brainstorm until all hours of the night, present wild promotional ideas to clients, and generally approach the ad specialty market in a unique and creative way?

We want to hear from you. Send a brief e-mail to Andy Cohen, editor, at acohen@asicentral.com explaining how your sales team is creative and unique in its approach to the market. Please make sure to include your contact information and ASI number. The more creative the e-mail the better, as your company could become the subject of a feature in the March issue of Counselor.

ASICentral Poll Results: Does Your Company Block Social Networks?
In December, we posed the following question on ASICentral: Does your company block social network sites like Facebook and Twitter? Get the results here.

Got questions, comments or any type of feedback regarding anything ASICentral, don't hesitate to contact us at feedback@asicentral.com.Also, follow ASICentral at .

In The News
Bag Makers Inc. (asi/37940) has begun the process of seeking accreditation from the Quality Certification Alliance.

Drummond Printing Inc. (asi/50873) has unveiled a new logo and reduced its standard production times. The company has also introduced a line called Pronto! Products, which are available to be shipped within 48 hours.

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FREE REGISTRATION DEADLINE FOR ASISAN DIEGO IS JANUARY 27
Both distributors and suppliers are excited about The ASI Show San Diego! Timed in the first quarter (February 24-26), ASI San Diego will deliver the products, services, ideas and strategies you need to launch 2010 with a bang. Featuring leading suppliers (most of the Top 40), cutting-edge education and non-stop networking, ASI San Diego will be a sales-building event like no other. The free registration deadline for ASI distributor and decorator members is January 27. Don't delay. Register today at www.asishow.com.

A BRAND-NEW EVENT FOR WOMEN IN THE AD SPECIALTY BUSINESS
Don't miss the ASI Women's Summit taking place May 4, 2010 at the Millennium Broadway Hotel in New York City from noon-3:30 p.m. Designed for women in the advertising specialty industry, the ASI Women's Summit will provide a lively environment to develop new relationships while discussing new business approaches with colleagues. The action-packed afternoon schedule will include a networking reception, luncheon and two Keynotes by real estate mogul Barbara Corcoran and Rosalie Marcus, The Promo Biz Coach™.

Delivering a productive, one-on-one atmosphere for distributors to meet with top suppliers, the Advantages Roadshow features free education (sponsored by Fields Mfg., asi/54100) from 7:45 a.m.-9 a.m. and 1 p.m.-2 p.m. and exhibit hours from 9 a.m.-1 p.m.

Visit www.advantagesroadshow.com for complete details. All distributors are invited to attend the Advantages Roadshow for free. No pre-registration is required.

Next, the Advantages Roadshow will be in the Southeast (Raleigh, Jan. 25; Charlotte, Jan. 26; Atlanta, Jan. 27; Nashville, Jan. 28 and Memphis, Jan. 29.). The Advantages Roadshow will be co-located with the Stitches Roadshow in Atlanta.

The following are the dates and locations for The ASI Show in 2010:
Dallas: February 1-3
San Diego: February 24-26
New York: May 4-6
Chicago: July 13-15
Plus, don't miss the ASI Advantages Roadshow, the industry's #1 traveling show. Visit www.advantagesroadshow.com for the complete schedule!